FiltersDone

Question type

Essay

Multiple Choice

Short Answer

True False

Matching

Exam 17: Financial Statement Analysis

Show Answer

Share

---

All types

Filters

Study FlashcardsPractice ExamLearn

Question 101

Multiple Choice

Review LaterAdd Note

Review Later

An acceleration in the collection of receivables will tend to cause the accounts receivable turnover to

A) decrease
B) remain the same
C) either increase or decrease
D) increase

E) All of the above
F) B) and C)

Correct Answer

verified

Show Answer

Question 102

Multiple Choice

Review LaterAdd Note

Review Later

Brock Company's financial information is listed below.Assume that all balance sheet amounts represent both average and ending balance figures and that all sales were on credit.​Assets Liabilities and Stockholders' Equity​ Income Statement ​ What is the current ratio?

A) 1.42
B) 1.17
C) 1.58
D) 0.67

E) B) and D)
F) A) and D)

Correct Answer

verified

Show Answer

Question 103

Multiple Choice

Review LaterAdd Note

Use this information for Kellman Company to answer the questions that follow. ​ The balance sheets at the end of each of the first two years of operations indicate the following: ​ -Using the balance sheets for Kellman Company,if net income is $150,000 and interest expense is $20,000 for Year 2,what is the return on stockholders' equity for Year 2?

Analyzing a company's performance should take into account conditions peculiar to the industry and the general economic conditions.

Use the information below for Privett Company to answer the questions that follow. ​ -Based on the data for Privett Company,what is the amount of working capital?

Using measures to assess a business's ability to pay its current liabilities is called current position analysis.

Hsu Company reported the following on its income statement:​​ Interest expense was $80,000.Hsu Company's times interest earned ratio is

A company reports the following:​ Determine the times interest earned.Round your answer to one decimal place.

Use the information below for Harding Company to answer the questions that follow. ​ -Based on the data for Harding Company,what is the amount of working capital?

Horizontal analysis is a technique for evaluating financial statement data

The percentage analysis of increases and decreases in individual items in comparative financial statements is called

Earnings per share amounts are only required to be presented for income from continuing operations and net income on the face of the statement.

Comparing dividends per share to earnings per share indicates the extent to which the corporation is retaining its earnings for use in operations.

Assume the following sales data for a company:​ What is the percentage increase in sales from the preceding year to the current year?

The following information was taken from Slater Company's balance sheet:​ Determine the company's (a)ratio of fixed assets to long-term liabilities and (b)ratio of liabilities to stockholders' equity.Round your answers to one decimal place.

Cash and accounts receivable for Adams Company are provided below.​ What is the amount and percentage of increase or decrease that would be shown with horizontal analysis?

A balance sheet shows cash,$75,000; marketable securities,$115,000; receivables,$150,000; and inventories,$222,500.Current liabilities are $225,000.The current ratio is 2.5.

If two companies have the same current ratio,their ability to pay short-term debt is the same.

The number of days' sales in receivables is one means of expressing the relationship between average daily sales and accounts receivable.

The following information is available for Meyer Company:​ Which of the following statements is correct?